The intervention by the Supreme Court with gloves off restricting the sale of diesel vehicles with an engine capacity of 2000cc and above until March 31, 2016, in New Delhi has received mixed response from the Indian automobile ecosystem. Past judicial history is replete with instances of courts being the pallbearers of environmental protection in India. Judicial intervention is largely triggered due to ineffective executive measures.
It is in this context that the judiciary has once again pressed into service some immediate measures. The Supreme Court, in its wisdom, has taken to sweeping orders—one of which directly attempts to balance economic and environmental concerns.
On the legislative front, emission norms applicable to diesel vehicles are primarily governed by the provisions of the Motor Vehicles Act, 1988, and the Central Motor Vehicles Rules, 1989. Ironically, the BS-IV standards (Bharat Stage IV) only apply to certain specified cities in the country and a large part of India runs with BS-III standards. Further, passenger vehicles which are fitted with diesel engines of 2000cc and above largely meet BS-IV norms, which are essentially the cleanest diesel vehicles available. However, surprisingly, regulation on sale of vehicles which meet BS-II and BS-III norms—which have higher emissions—are not the centre of emergency measures. Further, there is enough empirical evidence to suggest that commercial vehicles, such as trucks and buses, which are the largest polluters, continue to only meet BS-III norms.
The law of the land clearly requires automobile conglomerates to meet emission norms prescribed under the Motor Vehicles Act and Central Motor Vehicles Rules. Emission norms lay out the levels of nitrogen oxide (NOx) for various engine categories. Common understanding dictates that vehicles providing higher mileage are perceived as more fuel efficient, but this is not always true as NOx levels may be higher to attain this goal. The catalyst and technology implemented for reducing NOx levels is far more critical as an environmental yardstick. The luxury segment is dominated by auto players employing highest advancements to reduce NOx emissions. Apart from the discussions on defeat devices, the emission levels by these engines would be far superior than Indian standards, most being Euro 5 compliant.
At a macro level, there is a dire need for the government to re-look at its policy to advance the cut-off dates for enforcing stricter emission norms (such as BS-V). The government has for long promoted diesel fuel through subsidies, prompting manufacturers to set up diesel capabilities. A flip flop of this nature merely adds to the international sentiment of India’s regulators appearing to be restless sharpshooters looking for the juiciest target.
A larger issue which is not being discussed and addressed is the urgent need to provide higher quality fuel. Upgrading technology for refinement of crude oil is far more critical to meet stricter internationally recognised emission norms to begin with. An interim ban on a segment of vehicles meeting norms and ignoring other polluting vehicles may not be a long-term answer to India’s effort from a legislative and executive perspective.
By Zakir Merchant and Vivek Sriram
Zakir Merchant (partner) and Vivek Sriram (senior associate) are members of law firm Khaitan & Co. Views are personal
